Even if you are not on the market for a new car, US President Donald Trump's tariff for car imports can make one more expensive. It is estimated that new taxes, which are scheduled to start on April 3 and expand in the following weeks, raise the average cost of the imported car from another country by thousands of dollars. But it is expected that repairs for vehicles that currently use foreign parts are more batch-and as a result, road insurance costs. While the White House says that these definitions will enhance local manufacturing and collect revenues of $ 100 billion annually, economists stress that the global supply chain in the auto industry brings great turmoil. It is possible that the agents and car repair stores may have a great choice but to raise prices - driving drivers throughout the country to pay more for daily maintenance. Here is what you need to know. How will the definitions affect the repair of my next car? This depends on what you need fixed and where you go to get your car service. But some industry analysts warn that drivers may see that costs are early in the coming weeks or months. "If you are preparing your car to fix it, it is likely that it has a part that comes from another country," said Jessica Caldwell, the head of ideas in automatic purchase resources. "This price, which you pay, will be affected directly, (from these definitions)." Trump's advertisement on Wednesday about cars tariffs specifically for engines, transportation, power generation parts and electrical components. This covers a lot of reforms as it is, as CaldWell indicated, and the administration has also indicated the possibility of expansion in the future. While car manufacturers may develop new pricing strategies for new vehicles affected by definitions, CaldWell is expected to be less likely to absorb the costs of individual parts - leaving consumers with the bill perhaps more. Many of the auto repair market relied heavily on imports, especially from the largest commercial partners in America. According to February figures from the American Resources Insurance Association, a commercial group representing home, cars and business insurance companies is imported, about 6 out of 10 parts of the replacement of cars used in the American auto store repairs from Mexico, Canada and China. "You cannot walk in today's agency and not see the United Nations from the parts," said Skylar Chadwick, COX AUTOMOTIVE. He adds and adds that the sources and supply differ between every confrontation, which makes it more complicated by the reduction when the prices rise exactly after these definitions have become effective. Desiree Hill, the owner of Crown's Corner, a Conyers, says the car tariff was already hurting its business. She was working to repair the 1960 Opel Record and ordered part of Germany, but the manufacturer canceled the request due to the definitions. She said, "I cannot get (the part) anywhere in our country. It was very disappointing." Nearly half of the cars that you work on is a foreign -making, so the definitions will make the repair of these cars more difficult. She said, "Unfortunately, we have no choice but to raise prices if it arises on us," she said. "We cannot lose this type of loss." Car repair prices have already increased for years, as analysts indicate the costs of increasing employment and the most expensive components needed for advanced technology vehicles. Edward Salami, Executive Director of the Automobile Parts Association, says car companies are also trying to "gain a monopoly" to reduce treatments in their parts or operations, which reduces options for consumers. He said that the customs tariff will exacerbate the case: "Many of these distributors will have no choice but to raise the price of their list." How is auto agents managed? Joshua Alirish, who runs a used family agency called Allrich Auto in Atlanta, is among those concerned with facing higher costs while trying to save his customers. "He will make things much more expensive," Al -Rareeh said, adding that while he is looking forward to the possibility of people rushing to buy cars before the definitions are in force, his work will soon have to seize them. )) Chadwick says that merchants and other employees will need to be as transparent as such as customs duties with preparation for difficult conversations about high prices with customers. He adds that the customs tariff will also put pressure on the market. It is often served to the cars used before the agents can sell them to customers - once again opened the door for the high repair costs due to customs tariffs. "All this cost is returned directly to the consumer," he explains through what ends up to pay the car. In the efforts made to delay the effects, some traders and repair shops may turn to storing inventory before the definitions reach, especially for the parts that are requested more than others. Analysts say many have long been affected by the threat of automatic definitions, and they are already struggling with the effect of new steel and aluminum fees that entered into force earlier this month. But storage can only go to this extent. For small business owners, money spending on a lot of stock can be risky simultaneously, especially when Trump's threats to the scope of tariffs on the time will continue. If they end up until they are short -term, Caldwell said: "Do you really want to buy a group of stock that you will have to sit and keep (to) for some time?" What will happen for my insurance installments? Since incidents that involve new parts will witness an increase in the costs of repairs, the insurance premiums are likely to rise due to the definitions. But it may be further to the future. Bob Basur, Vice President of Personal Airlines at the American Resources Insurance Association, expects consumers to see an impact on their insurance bill at at least 12 to 18 months. This is because the increasing prices must reach the costs of claims, then they are implemented after submitting and approved new prices. However, the Trade Association estimated that the costs of personal car insurance may increase a total of $ 7 billion and 24 billion dollars annually. It was not immediately clear how much auto insurance service providers were ready for the effects of these definitions. Allstate, State Farm, Geiico and Progressive did not respond immediately for the Associated Press requests to comment on Friday. But even if it takes a long time to give up, these tariff increases will arrive again as consumers have already faced insurance costs. The Insurance Information Institute estimated that the average American car installments increased by 14 % in 2023 and 12 % in 2024. Mark Friedlander, chief director of media relations at the institute, said via e -mail that the non -profit search trade expects a 7 % premium for auto insurance in 2025 at the beginning of the year - but this did not explain the effects of possible tariffs, which will lead to its rise. Caldawil adds that increasing costs that extend from the customs tariff causes an "reaction chain for insurance". "This is an increase in the total cost of ownership, instead of increasing the purchase." This story was originally shown on Fortune.com 2025-03-29 10:03:00
